Retired bureaucrat Prabhakar V Deshmukh, an accused in the Adarsh Coope-rative Housing Society scam, is likely to face more trouble.

Retired bureaucrat Prabhakar V Deshmukh, an accused in the Adarsh Coope-rative Housing Society scam, is likely to face more trouble.

The Central Bureau of Investigation (CBI) has referred the matter involving recovery of Rs22.50 lakh in cash from his residence to the income-tax (I-T) department.

"The matter has been taken up with the I-T authorities for necessary action," said an affidavit filed by Ravindra Singh, additional superintendent of police, CBI, anti-corruption branch, before the Bombay high court on Monday.

Promoted as a six-storey housing society for war veterans and widows, Adarsh society was later converted into a 31-storey tower and flats allotted to politicians, bureaucrats and defence personnel, allegedly in exchange for sanctions.

On January 29, the CBI registered a first information report in connection with the Adarsh scam and named Deshmukh, 64, as one of the accused.

It is alleged that as deputy secretary in the urban development department in 2003, Deshmukh had fraudulently communicated to the municipal corporation that the ministry of environment and forests (MoEF) had accorded a no-objection certificate for construction of the 31-storey structure, though no such clearance had been granted.

Deshmukh, who retired in October 2004 as director of town planning and valuation, has challenged the search and seizure conducted by the CBI at his Thane residence on February 2, and subsequent freezing of the bank accounts and lockers.

The sleuths found Rs22.50 lakh in cash from his house and a few incriminating documents pertaining to Adarsh society.

The affidavit, filed in response to the petition, said that the five bank accounts and three lockers have been attached to verify the benami transactions purportedly made by accused. "The banks concerned have been requested to provide details of debit and credit entries of the accounts," Singh's affidavit said.

The affidavit claimed that the flats purchased by former member of legislative council Kanhaiyalal Gidwani and his sons, Sunil and Anil, in Adarsh are benami properties. "Similar more transactions are evident, which need to be investigated."

Deshmukh contended that he had merely forwarded the society's application seeking permission to construct a residential building to the MoEF and communicated the ministry's decision to the municipal corporation. He also claimed that the cash found at his residence was accounted for and declared to the I-T department.